Class 2b: Natural Resources and Energy

Todays classWhat is a resource?Ecological footprintsNatural resources and resource-based economiesExample: GabonEnergy and oil

What is a resource?Naturally occurring materialUseful to societyAble to be exploited (used)Availability depends on:Physical characteristics of the resourceEconomic and technological condition of society

Renewable resourcesRegenerated as fast as theyre usedEnergy sourcesPotentially renewable: must be carefully managedWaterForestsSoils

Nonrenewable resourcesFinite on a human time scaleAll mineralsFossil fuelsGenerated like sedimentary rocksCoal, oil, natural gas

Tragedy of the commonsResources held in common; free accessWealth measured by resource useNo incentive to conserveTragedy is inevitable: an individual will overuse public resources when it is in his or her best interestsSolutions?

Example: Atlantic codGrand Banks off Canadian East CoastFor 500 years, rich commercial fishery1950s technology led to 4x catch ratePopulation crashed in 1980s; 70% decrease in catchNow moratorium on Northern Cod

www.mbayaq.org

Resource consumptionEcological footprintAverage productive land per person: 4.5 acresAverage land used by US residents: 24 acres Whats your footprint?

Mineral resourcesMineral: inorganic; specific chemistry, hardness, density, crystalLocation depends on geology: large size or luckNo one country has everything

Mineral resourcesSix stages in mineral explorationExplorationExtractionConcentrationRefiningTransportingManufacturingEach stage has its own geography

Mineral explorationWhere does exploration take place?GeologyPoliticsEconomicsTechnologyThe less risk and cost, the betterExploration determines where reserves are

Resource reservesEstimated vs. provenRemember: economics and technology

Resource reservesEstimated vs. provenRemember: economics and technology

Mineral extractionWhere does extraction take place? See Step 1!

Mineral extractionWhere does extraction take place? See Step 1!

Copper CityCopper CoveCopperopolisCoppervale

Mineral concentration and refiningTwo similar stagesEx: Copper uses 0.5% ore: where?Near the extraction site

Mineral concentration and refiningTwo similar stagesEx: Copper uses 0.5% ore: where?Near the extraction site

Mineral processing/manufacturingDepends on the mineral: small or large quantities?Ex: Copper in small pieces: where?

Mineral processing/manufacturingDepends on the mineral: small or large quantities?Ex: Copper in small pieces: where?

Example: GoldLong history as a valuable metalConducts electricity; ductileUsed as currencyAesthetic valueOccurs everywhere, even in seawaterPlacer vs. lode goldWeathered gold washed downstreamVeins under the surface

Example: California Gold RushGeologically right: former seabedPolitically right: just transferred from MexicoTechnology evolved to extract more goldInitially placer miningThen hydraulic miningThen cyanide heap leaching

Example: California Gold RushGold helped Union win Civil WarPopulation boom made CA a state in 2 yearsAgriculture began to boomSan Francisco as gateway

Massive amounts of erosion and depositionMore flooding in SacramentoProcessing involved mercury and arsenicDont eat American River fish!

Example: ColtanMineral that includes tantalumUsed in cell phones, laptops, etc.Found in Australia, Central Africa

Example: ColtanMineral that includes tantalumUsed in cell phones, laptops, etc.Found in Australia, Central Africa Good source of income for Congolese But, militias overrun protected areas and smuggle out coltan So Nokia et al. go to Australia instead

EnergyThe capacity to do work or transfer heat(Nearly) All energy comes from the sunPrimary energy sources: heat or do work directlySecondary sources: turn turbines to generate electricity

Energy90% of US energy from fossil fuelsRemainder nuclear, hydroDifferent geography for each sourceCoal, natural gasHydroNuclearSolarWind

NuclearSolarWindHydro

OilWorldwide and in US, 40% of energy2/3 of US use is transportationCheaper to import oil than extract it here (60% imported)Depends on relationships with exporters2002: Canada, Saudi Arabia, Mexico, Venezuela, Nigeria, Iraq

OPECOrganization of Petroleum Exporting CountriesCartel that sets oil prices and supplyFormed to resist European companiesHolds 70% of reservesIran, Iraq, Kuwait, Qatar, Saudi Arabia, UAE; Algeria, Libya, Nigeria; Venezuela; Indonesia

1970 oil crises1973 Israel fights off Egypt and SyriaOPEC wanted to punish Israels alliesPlus frustration with 6% of population using 33% of energyQuadrupled oil pricesLed to gas shortages, efficiency improvementsToday, conservation no longer a concern

Oil reservesWhen will we run out? No, when will production decline?10% rule: production is about 10% of reservesNew discoveries needed to keep production highIn 2003, 25 billion barrels were used, but only 8 billion were discoveredAnd consumption is only increasing

Oil reservesResource use follows Hubberts curve

When is the peak of production?Between 1999 and 2010What happens economically?

Solutions?Technological improvementsSubstitutionsTaking oil by force New sites of explorationLess environmentally friendlyNew parts of the world